Statement on introduction of fair tax proposal

Following this afternoon’s announcement from State Senator Don Harmon on a proposed fair income tax rate structure, Emily Miller, Director of Policy Advocacy at Voices for Illinois Children, issued the following statement:

Voices for Illinois Children supports the income tax structure proposed today by Senator Harmon as a significant step in improving tax fairness in our state. Analysis shows that this rate structure would maintain the stable and sustainable revenue from the personal income tax needed to educate our children, fund essential services, pay our bills, and avert downgrading our future.

Under this plan, all Illinois households with incomes up to $200,000 would pay lower taxes than they do now.

Illinois has an outdated tax system and is one of only a handful of states with a flat personal income tax that charges all households the same rate regardless of their ability to pay. As a result, low- and middle-income families are disproportionately responsible for funding our state’s vital programs and services. And because our current income tax rate is a flat percentage, state revenue doesn’t reflect the growth in income for the richest among us—growth made possible by key investments like education and infrastructure.

To create a fairer tax system, Voices urges members of the General Assembly to put an constitutional amendment on the November ballot to give voters the option to have a fair tax that reflects families’ ability to pay — by applying lower rates to lower income levels and higher rates to higher income levels.